Appendix B

The primary audit objectives of the Federal Government's review of a University recharge operation is to determine whether:

• adequate policies, procedures and internal controls exist for the operation of university recharge centers
  
  
• university recharge centers are charging all users equitably
  
  
• university recharge centers are adjusting billing rates to eliminate accumulated surpluses and deficits on an annual basis
  
  
• recharge centers are excluding unallowable costs in calculating the billing rates
  
  
• the university does not earn investment income on excess cash accumulated in recharge center fund balance accounts

Source: Audit Guide for Review Of Recharge Center Billing Rates at Colleges and Universities, Department of Health and Human Services

Dated: Fall 1991